<p>Despite the advantages, acceptance of the AC microgrid has been hindered by the complexity of the protection task, which demands adaptability to variation in operational dynamics. In this regard, an analytical scheme for microgrid protection has been proposed based on the combined framework of equivalent circuit modeling and the Lissajous pattern. Representation of the complex nonlinear microgrid network by an equivalent circuit imparts scalability to the network architecture and size. Using the Lissajous pattern derived from the voltage–current samples, a set of bus impedance-based indices is proposed to detect any variation in system dynamics due to line faults. Post-fault detection, the Lissajous patterns for different buses are analyzed to identify faulty sections. The use of sensor information only for fault detection and section identification without depending on the microgrid topology and parameters allows for the generalization of the scheme for a wider class of networks with adaptability against topology and parameter variation. The scheme has been extensively validated for a wider range of fault case scenarios involving variations in fault parameters for both grid-connected and islanded modes of operation. In addition to numerical solutions, the scheme has been validated on a real-time test bed.</p>